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Example High-level Federal Sourcing Decision Model for Non-Inherently Governmental and Non-Critical Functions Procurement Agency Chief Acquisition Officer Human Resources Functional Area Budget and Finance Office of Management and Budget Phase CAO with FA Decision to Implement Sourcing Method for New or Existing Activity Insource? Compete? Cross-Service? Privatize? Establish Human Capital Requirements and, if needed, coordinate with Procurement to Cancel Contract or Cross-Servicing Agreement Conduct Streamlined or Standard Competition*, or Private-Private Sector Competition No Yes Stop Yes Establish Cross- Servicing Agreement with Provider Develop Business Case and Seek Approval from OMB/Congress Yes Verify Budget Authority and Funding Availability No No No Yes Copyright 2011, Thomas F. Kaplan. All Rights Reserved. *Currently prohibited by statute

Example Sourcing Decision Model

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Example High-level Federal Sourcing Decision Model for Non-Inherently Governmental and Non-Critical FunctionsPr

ocur

emen

tAg

ency

Chi

ef

Acqu

isiti

on

Off

icer

Hum

an R

esou

rces

Func

tiona

l Ar

eaBu

dget

and

Fi

nanc

e

Off

ice

of

Man

agem

ent

and

Budg

etPhase

CAO with FA Decision to Implement

Sourcing Method for New or Existing

Activity

Insource? Compete? Cross-Service? Privatize?

Establish Human Capital

Requirements and, if needed, coordinate

with Procurement to Cancel Contract or

Cross-Servicing Agreement

Conduct Streamlined or

Standard Competition*, or Private-Private

Sector Competition

No

Yes

Stop

Yes

Establish Cross-Servicing Agreement

with Provider

Develop Business Case and Seek Approval from OMB/Congress

Yes

Verify Budget Authority and Funding Availability

No No No

Yes

Copyright 2011, Thomas F. Kaplan. All Rights Reserved. *Currently prohibited by statute